Dr.Reddy’s Labs is among the top five gainers on the BSE; the stock price soared over 6.5% to Rs.2466.40 and continues to remain firmly in the green.
The company informed the exchanges today morning that the audit of its Custom Pharmaceutical Services (CPS) facility at Miyapur, Hyderabad, Telangana, by the USFDA was completed today with zero observations.
This apart, the company also stated that the FDA also completed the audit of Formulation Srikakulam Plant (SEZ) Unit II, Andhra Pradesh; it received an Establishment Inspection Report (EIR) with zero observations.
This comes as a great relief as the company has been under the dark clouds w.r.t FDA observations.
Following this, Morgan Stanley issued a report, hiking its rating on the stock to ‘Overweight’ from ‘Equalweight’. It also raised the price target to Rs 3,133 from Rs 2,798 earlier.